Student loan benefit provider Goodly has added a new feature to its platform that will help employees manage the cost of higher education: a 529 plan.
These tax-advantaged investment vehicles allow employees to save money for their children’s (or other loved ones’) college education. Through Goodly, employers can make contributions directly to employees’ 529 accounts. Contributions go into the 529 savings plan after taxes, meaning there is no federal tax deduction, says Goodly CEO Greg Poulin. Contributions grow and can be withdrawn tax free, as long as the money is used for qualified educational expenses including tuition, books, fees, and other supplies.
